this post was submitted on 16 Nov 2023
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I laid it out elsewhere in this thread, but in short, costs grow non-linearly with scale: you can run thousands of users on a RPi, but a million users requires whole datacenters. Decentralization not only helps with not requiring "whole datacenters" in the first place, they also enable maximization of resources: if you have a NAS at home, or a RPi hanging around, a router idling somewhere, or an abandoned smartphone in a drawer, you can probably host enough accounts for all the people that you've ever met in your life. And there are hundred of thousands of such underused devices everywhere, which, put together, would be sufficient to host the whole world multiple times around.
The other issue is sustainability: with this centralization comes single point of failure. It's no big deal witnessing the disappearance of one or few providers of a federated network. Accounts and data can be migrated easily. For most users, it's invisible. Now compare this to Signal running into financial issues: you are contemplating million of users losing access to their account and their data, and having to re-bootstrap their whole social graph elsewhere. This is another level of "cost", or price to pay, for centralization.
Who is maintaining all these "unused" devices that you will want working pretty consistently? Who is responsible for replacing hardware when it dies? Who is looking into it when someone stops receiving messages? What happens when the person hosting thousands of users just stops wanting to do it? Who migrates these accounts?
Frankly, your argument sounds more like wishful thinking than anything practical. You've basically described the plan as "Magically some devices in someone's basement will suddenly start running a messaging service, maintenance free, from now until the end of time".
This isn't wishful thinking, this is in defense of a model where our digital needs would be distributed at a level lower than that of the tech majors, which was commonplace before everything on the internet was so consolidated.
I'm not saying that everyone should self-host, I'm saying that federated services could be hosted at family&friends/regional/national levels, simultaneously, and deliver a resilient service at a negligible cost. Hardware, which is very much a problem for Signal & al right now, wouldn't be in a distributed model, and could be donated and repurposed easily. My example was perhaps a bit too extreme, but I think you get the gist of what I'm saying.